Multiple cards over 90% individual UTI versus one card over 90% individual UTI

[Anonymous]

Honestly, worrying about which cards are over 90% right now should be the last priority of the OP.  If he's at 92% aggregate utilization on $60k in total limits, he's got over $55k in CC debt.  The only focus here, IMO, should be taking hold of the magnitude of that situation, coming up with a plan to eliminate it in general and how to avoid it from happening again.  Worrying about which card balance to take down for scoring benefit at this point shouldn't be high on the list.

Aggregate utilization at 92% likely means his scores are 80-100 points from where they could be [with aggregate utilization at 1%-8%].  No need to over think things here... he's just got to start paying down all of those high balances, lowering that aggregate utilization and the scores will respond accordingly.

[Thomas_Thumb]

My understanding of Fico scoring is as follows:

1) The big hitter is aggregate utilization. Regardless of paydown allocation, aggregate utilization changes the same amount (unless balance chasing is triggered)

2) Fico looks at utilization on individual cards but, factors in the card with the highest  UT% in scoring. The issue with multiple cards having a high utilization is their impact on aggregate utilization - not a specific metric on card count above X% utilization (other than 0% utilization)

3) Count and/or % of cards with balances. If all cards are reporting balances that hurts score.

To reduce potential for adverse action, I would recommend getting all cards under 90% ASAP. Then pay off a couple low limit cards. This helps in a few ways: 1st interest payments are obviously eliminated on paid odd cards, 2nd having some cards paid off is a positive sign to creditors that may reduce likelihood of AA and 3rd, not having all cards showing balances will positively impact Fico score.

I do think OP remains at high risk of potential AA on cards that have 70% utilization or higher. Thus, the recommendation to get the remaining cards under this threshold before selective paydown based on APR.